Bitcoin On The Radar? Dell’s Q2 Results Provide Clarity

Dell
Technologies’
Q2
2024
earnings
results
had
the
crypto
industry
on
the
edge
of
its
seat,
anticipating
the
company
might
become
the
latest
to
add
Bitcoin
(BTC)
to
its
balance
sheet.

No
Bitcoin
Purchases
For
Dell
Yet

Despite
CEO
Michael
Dell’s
cryptic
posts
on
social
media
platform
X
highlighting
Bitcoin’s
digital
scarcity,
Dell
Technologies
has
yet
to
add
any
BTC
to
its
balance
sheet,
Q2
earnings
results

confirm.

Michael
Dell’s
recent

series

of
posts
on
X
indicated
that
the
billionaire
CEO
might
be
bullish
on
the
long-term
potential
of
the
leading
digital
asset. 

Michael
Dell
reposting
acclaimed
Bitcoin
bull
Michael
Saylor’s
posts
heightened
the
excitement
about
Dell
potentially
adding
BTC
to
its
balance
sheet.
However,
the
latest
earnings
report
has
tempered
the
crypto
industry’s
enthusiasm
for
now.

The
earnings
filings
make
no
mention
of
any
BTC
purchases
made
in
the
second
quarter
of
2024.
While
the
report
notes
that
the
company’s
Q2
2024
revenue
was
$24
billion
–
up
by
9%
year-over-year
(YoY)
primarily
fuelled
by
growing
demand
for
AI
–
BTC
or
any
other
cryptocurrency
did
not
find
any
mention
in
the
report
or
the
company’s
earnings
call.

The
lack
of
Bitcoin
in
Dell’s
balance
sheet
instigated
mixed
reactions
on
X.
Some
users

opined

that
no
major
company
will
buy
BTC
until
it
solves
its
quantum
threat.
Others

commented

that
a
company
as
big
as
Dell
could
buy
between
$25-$100
million
of
BTC
without
being
required
to
disclose
it
in
their
GAAP
financials,
due
to
it
being
deemed
immaterial.

For
the
uninitiated,
materiality
in
accounting
refers
to
the
significance
of
an
amount,
transaction,
or
discrepancy.
If
an
item
is
deemed
immaterial,
it
means
its
inclusion
or
omission
would
not
impact
the
decision-making
process
of
a
reasonable
investor
or
stakeholder. 

That
being
said,
it’s
prudent
to
temper
optimism
and
rely
solely
on
what
the
company
discloses
in
its
earnings
report.

A
Look
At
Institutional
Appetite
For
Bitcoin 

Although
Dell
might
not
be
the
latest
company
to
join
the
distinct
list
of
firms
with
Bitcoin
on
their
balance
sheet,
it
doesn’t
mean
there
is
a
lack
of
institutional
interest
in
the
leading
digital
asset
by
market
cap.

Michael
Saylor’s
MicroStrategy
holds
more
than
226,000
BTC
on
its
balance
sheet,
valued
at
more
than
$13.4
billion
according
to
current
market
prices.
It
is
expected
that
MicroStrategy
will
continue
adding
the
orange
coin
to
its
financials,
as
it
recently
made
public
its
plans
to

raise

$700
million
to
purchase
BTC.

Other
notable
names
that

hold

BTC
include
the
likes
of
Galaxy
Digital
Holdings,
Tesla,
and
Coinbase
Global,
holding
15,449
BTC,
11,509
BTC,
and
9,183
BTC,
respectively.

The
stellar

performance

of
Bitcoin
exchange-traded-funds
(ETFs)
in
the
US
has
further
solidified
BTC
as
an
asset
of
choice
among
sophisticated
investors,
allowing
them
to
hedge
their
bets
against
fiat
currencies
that
suffer
with
potentially
unlimited
supply,
and
the
ensuing
inflation.

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